Bawal, Haryana – January 30, 2025 – Rajnandini Metal Limited (NSE: RAJMET, ISIN: INEOOKV01022) has announced its unaudited financial results for the third quarter (Q3) and nine months (9M) of fiscal year 2025 (FY25), ended December 31, 2024. The company reported a significant decline in revenue and profitability, reflecting market headwinds and rising costs.
Key Financial Highlights (₹ in Lakhs)
| Particulars | Q3 FY25 (31.12.2024) | Q3 FY24 (31.12.2023) | YoY Change (%) | Q2 FY25 (30.09.2024) | QoQ Change (%) | 9M FY25 (31.12.2024) | 9M FY24 (31.12.2023) | YoY Change (%) |
|---|---|---|---|---|---|---|---|---|
| Revenue from Operations | 23,272 | 29,767 | -21.8% | 27,772 | -16.2% | 82,505 | 89,663 | -8.0% |
| Total Income | 23,403 | 30,106 | -22.2% | 27,914 | -16.1% | 82,933 | 90,168 | -8.0% |
| Total Expenses | 23,389 | 29,580 | -21.0% | 28,077 | -16.7% | 83,247 | 88,480 | -5.9% |
| EBITDA | 379 | 1,187 | -68.1% | 223 | +69.9% | 2,273 | 3,390 | -32.9% |
| Profit Before Tax (PBT) | 14 | 526 | -97.3% | (163) | N/A | (314) | 1,688 | N/A |
| Net Profit | 9 | 386 | -97.7% | (122) | N/A | (237) | 1,495 | N/A |
| EPS (Basic & Diluted) | 0.00 | 0.14 | -97.1% | (0.04) | N/A | (0.08) | 0.54 | N/A |
Performance Overview
- Revenue Decline: The company posted ₹23,272 lakh in Q3 FY25, a YoY decrease of 21.8% from ₹29,767 lakh in Q3 FY24 and a QoQ drop of 16.2% from ₹27,772 lakh in Q2 FY25.
- Profitability Impacted: While the company returned to profit in Q3 FY25 with a net profit of ₹9 lakh, it was significantly lower than ₹386 lakh in Q3 FY24. However, this was an improvement from the ₹122 lakh net loss in Q2 FY25.
- Nine-Month Performance: The company reported revenue of ₹82,505 lakh for 9M FY25, reflecting an 8.0% YoY decline. The net loss for the nine months stood at ₹237 lakh, compared to a profit of ₹1,495 lakh in 9M FY24.
Expense Breakdown
- Raw Material Costs: ₹23,141 lakh in Q3 FY25, accounting for 99% of revenue, slightly lower than ₹27,075 lakh in Q3 FY24.
- Employee Expenses: ₹170 lakh, increasing from ₹163 lakh in Q3 FY24.
- Finance Costs: ₹335 lakh, rising from ₹326 lakh in Q3 FY24 due to higher borrowings.
- Depreciation & Amortization: ₹30 lakh, largely in line with previous quarters.
Management Commentary
Ashok Kalra, Managing Director of Rajnandini Metal Limited, stated:"The quarter presented challenges due to weaker market demand and rising costs. However, the company’s operational efficiency and cost-control measures helped stabilize the bottom line. We remain focused on strategic initiatives to drive sustainable growth in the coming quarters."
Strategic Outlook & Growth Plans
- Cost Optimization: The company is prioritizing cost control measures and supply chain efficiencies to improve profitability.
- Market Expansion: Despite short-term challenges, Rajnandini Metal is exploring new markets and diversifying its product portfolio.
- Risk Management: The company is working on hedging strategies to mitigate the impact of raw material price fluctuations.